Advisers Handle Hot Biotech Stocks With Care

Biotechnology stock funds are staging a robust rebound from last month's retreat, leading more advisers to dip their toes back into one of 2013's hottest markets.

In such a wide-ranging sector, however, portfolio managers are acting with special care. Some are taking precautions against a pullback, and see signs that, after a multi-year-run, bigger may no longer be better.